BMW Announces Leadership Change at its South Carolina
Plant

Josef Kerscher to depart for new role in Germany, Manfred Erlacher to
succeed Kerscher.

WOODCLIFF LAKE, NJ and SPARTANBURG, SC--July 3, 2013: Josef
Kerscher, who since 2007 has been President of BMW Manufacturing Co. in
Spartanburg, South Carolina, will assume new responsibilities as Managing
Director of BMW Plant Dingolfing in Bavaria, Germany. Taking over from
Kerscher at Spartanburg will be Manfred Erlacher, currently Managing
Director of BMW Plant Leipzig in Saxony, Germany. The handover takes place
November 1, 2013.

Under Kerscher's leadership, the BMW plant in Spartanburg, South
Carolina nearly tripled production, going from 105,000 vehicles in 2006 to
more than 301,000 vehicles in 2012. During the same period, the Spartanburg
plant became the largest exporter of cars from the United States.
Additionally, the Spartanburg plant achieved significant milestones in
sustainability, reducing energy and water consumption per vehicle
manufactured by nearly 50% and plant waste by 84%.

The Spartanburg plant is currently completing a major $900 million (USD)
investment expansion to increase production capacity to 350,000 vehicles
per year and to prepare for the launch of an entirely new vehicle, the X4
in 2014. The plant is the global manufacturing home for the BMW X5, X6 and
X3, and is the company's Center of Competence for X Vehicle
Manufacturing.

BMW Group Board Member Harald Kruger, responsible for the Global
Production Network, says the Spartanburg plant is a significant part of the
worldwide BMW manufacturing network: "With nearly twenty years of
production experience, the plant has an impressive development history and
its 70% export ratio plays an important role in balancing BMW business
growth among Europe, America and Asia. Spartanburg's increased production
capacity, the new BMW X5, and the soon-to-come BMW X4 will mean even
greater popularity around the world for the BMW models made in the
U.S."

The new president of BMW Manufacturing Co. will be Manfred Erlacher who
has just led BMW Plant Leipzig through a major expansion in order to
manufacture the revolutionary new BMW i3 and i8. Erlacher has been Managing
Director of Leipzig since January, 2009. Prior to that, he was head of the
BMW plant in Munich having succeeded Josef Kerscher when Kerscher took over
the leadership of the Spartanburg plant in 2007.

An engineer by training, Erlacher has extensive experience in BMW
production having led both Assembly and Body Shop operations at Plant
Munich before becoming Managing Director of the plant.

The successor for Manfred Erlacher at BMW Plant Leipzig will be Milan
Nedeljkovic, currently head of Assembly at Plant Leipzig